Novell Shares Surge Following Sale Rumour

Shares in Novell shot up following the publication of sale rumours on Wednesday.

The stocks value of the software developer rose by six per cent at the end of trade on Wednesday following a report by the New York Post that the company is close to a sale, news agency Reuters reports.

The report suggested that the Massachusetts-based software company plans to be broken up and sold in three to four weeks time.

The value of Novell rose by $0.32 per share, or 5.8 per cent, to reach $5.89 per share for a total of 17.18 million shares in a regular trade session ending Wednesday.

The unnamed source cited by the news publication suggests that the company is expected to sell itself as two different entities, with its software division sold separately.

Novell has been in news regarding a possible acquisition after the company dismissed an offer by Elliott Associates LP, a New York-based equity company.

Novell spokesman Ian Bruce has so far refused to offer any comment.